NYC Affordability

Two minimums, and the stricter one wins

Every financed NYC purchase has a lender, and a co-op purchase also has a board. The lender sets the smallest down payment it will finance. The board sets the smallest down payment it will approve. They don’t have to agree, and when they don’t, the bank’s generosity doesn’t help you.

There’s no citywide rule on either side. Every number below is market practice, not law, and the building you actually bid on is the only source that counts.

Co-ops: 20% is the floor, not the target

The usual starting point for a NYC co-op is 20% down. A January 2026 Skybriz guide (a market-practice source) describes 20% as the common minimum, says 25% to 30% is common in practice, and notes that some buildings require 40% to 50% down or don’t allow financing at all. Its advice for planning before you know the building: budget for 25%.

It isn’t uniform across the city. Aaron and Geoff, a Compass team in Riverdale, put a standard Bronx co-op’s minimum at 10% to 20% in February 2026, against 25% to 50% at premium and luxury co-ops. Skybriz calls 10% down on a co-op rare. So: possible at some buildings, not something to plan around.

Boards care because you’re joining a corporation, not just borrowing money. A bigger down payment means a smaller share loan, a smaller monthly payment, and less chance you stop paying maintenance. That’s also why the down payment isn’t the only cash test (more on that below).

Condos: lower is possible, and it costs you monthly

A condo is real property, so the lender’s rules usually govern. A 2017 CFPB blog post noted that most lenders offer conventional loans with private mortgage insurance for down payments of 5% to 15%, and some go as low as 3%. In NYC specifically, Hauseit (a brokerage, writing in 2020) put 10% as the usual lowest condo down payment, with 5% possible but rare, and noted that a few condo buildings set their own minimum financing rules.

Below 20% down, a conventional loan adds PMI to the monthly payment until you build equity. See PMI on NYC condos for the rate tiers and how it gets cancelled.

Two practical catches. First, the customary NYC contract deposit is 10% of the price, due when you sign, so a 10%-down buyer brings almost all of their down payment to the contract. Second, Hauseit also points out that sellers prefer all-cash and stronger offers, so a thin down payment can lose to a better-financed bidder even when the bank would say yes.

The cash that has to stay put

The down payment is the cash you spend. Co-op boards also test the cash you keep. Most want 12 months of mortgage plus maintenance left in liquid accounts after closing, and conservative buildings want 24 months or more. See the co-op reserve guide and post-closing liquidity for what counts.

Condo buyers don’t face a board test like that, but the CFPB’s advice still applies: don’t pour everything into the down payment. It suggests keeping enough for emergency savings and closing costs, and aiming for an emergency fund of at least three months of living expenses before you move in. Money in the apartment is hard to get back out.

Worked example

Take a $700,000 condo at the site’s defaults: a 30-year mortgage at 6.95% (the Freddie Mac 30-year average as of September 17, 2026), and $2,325/month in common charges, property tax, and insurance. The common charge and insurance figures are illustrative; the tax figure rounds a reported citywide average. The condo calculator’s closing costs include its illustrative fee and title estimates plus the mortgage recording tax.

	10% down	20% down
Down payment	$70,000	$140,000
Loan	$630,000	$560,000
Fees and title	$15,530	$15,460
Mortgage recording tax (1.925%)	$12,128	$10,780
Cash to close	$97,658	$166,240
Monthly P&I	$4,170	$3,707
PMI (0.70% a year at 10% down)	$368	$0
Monthly housing cost	$6,863	$6,032
Income needed at 43% DTI	$191,519	$168,332

Doubling the down payment costs about $68,600 more cash at closing and lowers the monthly bill by about $831. It also cuts the income a lender needs to see by roughly $23,000. The bigger down payment even shaves a bit off the recording tax, since that tax is charged on the loan amount.

Now a $700,000 co-op at the same rate, with the calculator’s illustrative $1,200/month maintenance and a 12-month reserve requirement. At 20% down, the reserve is $58,883 and total cash needed is $210,433. At 25% down, the reserve only falls to $56,103, while total cash rises to $242,653. Each extra dollar of down payment saves less than a dime of reserve. A board that asks for more down is asking for more cash. Full stop.

Where this fits in the calculators

The co-op and condo calculators both take the down payment as an input. Changing it moves the loan, the PMI, the monthly payment, and, for co-ops, the reserve. The savings planner works backward from all of that to tell you how long it takes to save the total. If you’re still deciding whether to buy at all, rent vs buy in NYC covers what that cash would earn if you kept renting. Don’t forget closing costs, which come out of the same pile.